Motorola enters PND market – for how long?

Motorola enters PND market – for how long?
Motorola announced yesterday two personal navigation devices within its accessories portfolio. Launching in exclusivity in the United States in RadioShack stores they will cost $199 for the MOTONAV TN20 (3.5 inches screen) and $299 for the MOTONAV TN30 (4.3 inches screen and Bluetooth).

The problem for Motorola is that these products have nothing different to offer from the no name devices on the shelves today; moreover, the price of these PNDs reflects what they should have been last year; in the meantime prices went down 30%.

It seems unlikely that putting a Motorola sticker on a PND will sell products at the same price than A brands such as Garmin and TomTom. Many consumer electronics brands which came to this market with the same approach have miserably failed or barely survive.

At a time where Motorola Mobile Devices is struggling on his core business: making mobile phones, it would be a miracle to make a profit on another highly competitive market where the company has no expertise.

Tuesday, October 28th 2008

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